SleepyLagoon

Is the Price of Gold Artificially Depressed?

surfer843 -

Volker's admission of his only mistake being not controlling the price of gold is very interesting. If you have a source for this information, I would be grateful if you would kindly post it. Thanks.

Many Banks Will Eventually Fail

gaucho - Bill is alluding to the authorities' desperate need to prevent gold from becoming a popular alternative to USD because the value of fiat currency rests upon the "faith and credit" of the issuer whereas gold's value is intrinsic. So, to the extent that gold's price rise reflects erosion of faith in the USD, the authorities' power is diminished along with their ability to "create" credit and manage or manipulate the financial system.

Many Banks Will Eventually Fail

For the authorities to be able to manipulate gold down to $820 it seems to me they would have to use "good" (i.e., non-depreciating) USD when massively shorting it instead of the rapidly depreciating variety they use at present. If that is wrong, please somebody explain how the authorities could achieve such a goal with the currency as it is.

3 Reasons For the Continuing Dollar Rally

Is this a gossip column, Kathy? Where is the economic analysis based on reality?

Lehman Brothers: The Spinmeisters Were Right

Spinmeisters distort reality (lie). If the reality was that Lehman sought desperately to raise new capital, then the spin was that Lehman had sufficient capital and was not desperate to raise more. Thus the title of this article is bassackwards.

The Case for $1300/Oz Gold

Money talks. Bullshit walks. And we all know which is fiat and which is specie.

Bernanke on Bagehot

I am no historian either, but when the Chairman mentions the "tenuous" ability of the BOE to provide liquidity, he probably refers to the discipline imposed by the gold standard. Today's pernicious moral hazard is implied by the helicopter metaphor.

What If We'd Been on the Gold Standard?

Let Bernake have his fiat currency, I don't care. Just please explain why he is so terrified of gold that he has to interfere in its "free market" price. Apparently, gold is a "problem" whether the dollar is convertible into it or not!